Barclays to face energy fix claims as watchdog brings court case

 
Tim Wallace
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BARCLAYS yesterday rejected claims its traders manipulated US energy markets, as an American regulator filed court documents in the latest stage of its bid to fine the bank.

The Federal Energy Regulatory Commission (Ferc) wants the bank to pay $435m (£272.5m) in civil penalties for allegedly manipulating the market from November 2006 to December 2008 to increase profits on derivative positions.

But Barclays denies the claims, leaving the Ferc to challenge the bank in court.

“We strongly disagree with the allegations made by Ferc against Barclays and its former traders in the Ferc’s Petition, and we believe the penalty previously assessed by the Ferc is without basis,” the bank said in a statement.

“We intend to vigorously defend this matter in federal court, where the Ferc will have the burden of proving its allegations and we will be able to present a balanced and full presentation of the facts.”